Quickbooks

How To Reconcile Your Bank Account In QuickBooks?

Paul Cooper #businesssupport, Quickbooks, Tax Returns , , , , , ,

As a business owner, you need to keep accurate financial accounts and reconciling a bank statement is an important part of ensuring this, so that the monies you record are consistent with the figures that your bank is reporting. Here, at Caroline Streatfield Bookkeeping, based in Eastbourne in East Sussex we recommend bank reconciliation should be carried out every month in order to ensure accuracy of your accounting records, which could flag up unusual transactions quickly. Software such as QuickBooks makes this process a lot easier as there is an automatic bank feed, which allows information from your business bank account to be fed into the accounting system. In our latest blog, we look at what bank reconciliation is, how you do it, top tips and why you might see errors in your figures.

What is bank reconciliation?

This is the process of matching the balances in your business accounting records to the corresponding information in your bank statement. Bank reconciliation will establish if there are any differences between the two cash balances and if there are, you will need to check your business accounting records. Regular checks will highlight anything that appears fraudulent and any accounting errors.

How to carry out a bank reconciliation?

  • Compare your 2 statements
  • Add bank-only transactions to your book balance
  • Add book transactions to your bank balance
  • Compare both of the adjusted balances

First of all you will need to see if both cash balances match. You will have to go through the transactions individually and make a note of any discrepancies. This process will ensure all entries have been downloaded and checked for any errors. You could find for example that duplication has resulted if a transaction has been manually added in addition to the bank feed. Any slight cash differences may be caused by payments that haven’t been processed or interest charges. QuickBooks accounting software has a reconciliation module that allows you to enter the ending cash balance of your bank account to aid this process.

Tips from Caroline Streatfield Bookkeeping on bank reconciliation

CSB recommends that it is easier to reconcile the bank on QuickBooks if you have a copy of the paper bank statement in front of you. If you have multiple transactions on a daily basis, it is a good idea to tick them off manually on the paper statement as well as using the reconciliation screen on QuickBooks. Also if the monthly bank statement is long in length with entries, for example 12 pages long, you may find it easier to reconcile to the balance of each page rather then trying to do the whole month in one go.

Reasons for errors in bank reconciliations

  • A transaction hasn’t been recorded
  • An error in the amount registered
  • The cash balance at the beginning was incorrect
  • Mistakes have been made in journal entries

How can Caroline Streatfield Bookkeeping help you with your bank reconciliation?

Caroline Streatfield Bookkeeping is a registered HMRC agent and can help you with any questions you have regarding bank reconciliation with QuickBooks. Caroline and her team are fully qualified and undertake regular training to keep up to date with HMRC changes. CSB can help you with all your bookkeeping requirements, Self Assessment Tax Returns and payroll services with accounting software training also offered on QuickBooks. For more information, call Caroline on 07982 682746 or 01323 885205 or email info@bookkeepereastbourne.co.uk

Bookkeeping In Eastbourne For 20 Years – Expansion And Changing With The Times

Paul Cooper Quickbooks, Xero , ,

Caroline Streatfield Bookkeeping (CSB) started life in Caroline’s bedroom, but the business has really moved on and flourished from this modest start and this month CSB is celebrating 20 years in business. Today CSB has its own office premises and employs three part time staff with almost 180 clients.

A milestone of this type shouldn’t go unnoticed and unheralded and so Annie from Writing and Blogging was sent in to investigate and find out a little bit more about this entrepreneurial lady.

Born in Surrey, Caroline is married with two children and has lived in Eastbourne for 6 years having lived in different areas of Sussex throughout her life. Her background is in taxation.

  1. Caroline Streatfield Bookkeeping (CSB) is celebrating 20 years in business. Can you tell us how you got into bookkeeping?

 It’s quite simple really, as when I was pregnant with my daughter I was looking for a career, which would fit around a young family. I needed flexibility with my hours and the logical fit was to build on my experience in taxation.

  1. What qualifications and training did you need?

In 2000, I enrolled as a student on the Institute of Certified Bookkeepers training course and took and passed the exam in the same year. Things are always changing in the world of taxation and bookkeeping and since then I have undertaken training regularly to keep updated and current.

  1. So, you started your own business straight away?

Yes. I advertised for clients immediately and my first client was a heating engineer and I’m delighted to say, he is still a client today. In order to broaden my knowledge, I also worked for a local accountant.

  1. What is the scope of your bookkeeping work?

It’s probably easier if I just list them:

  • Bookkeeping on cloud systems
  • VAT Returns
  • Self Assessment Returns
  • Training on software
  • Small limited company accounts and tax returns
  • Registration of companies and self assessment
  1. You must have seen quite a lot of changes in the industry over the last 20 years. Can you tell us what the major ones have been?

Yes, there certainly have been a lot of changes including the introduction of cloud- based software, which has revolutionised the efficiency of bookkeeping. There has also been the use of government gateways and more availability of information published by HMRC on the Internet. When I started, my clients often sent documents through the post, but today much of this is done by email. GDPR has also been huge with loads of regulations. I have to say that I don’t see many ledger books these days!

  1. How do you communicate with your clients and what are your response and delivery times?

CSB has only one mobile number which means clients can ring me directly rather than leave a message with a colleague at the office. It’s my aim to always get back to a client the same day, if I can’t talk to them when they ring.

  1. How do you ensure that all your client’s information is safeguarded?

This is really important to me and so I am registered for GDPR and ensure confidentiality within the guidelines. Eastbourne is a small town and therefore it is doubly important.

  1. Do all of your clients file online?

Filing online is compulsory for some businesses, but I’m also happy to work with smaller businesses who can still file non digitally.

  1. Do you do any teaching about using software accounting packages?

Some of my clients have asked for help with bookkeeping on QuickBooks and Xero and this is an aspect I really enjoy – clients seem to enjoy my calm approach.

  1. What are the best parts of your job?

It’s definitely meeting the clients and if their books are in a bit of a muddle, it’s super to sit down with them and find a way forward. Oh, and making sure that everything balances and deadlines are met.

Caroline’s client list is still growing with many coming to her by way of referrals. If you are looking for an experienced and yet realistically priced bookkeeper, please give Caroline a call on 07982 682746 or email info@bookkeepereastbourne.co.uk

Congratulations Caroline and I personally wish you many more years of success in your business.

Thank you for the interview.

 

 

Making Tax Digital – Are You And Your Business Ready?

Paul Cooper Quickbooks, Xero , , , , ,

Do you know what Making Tax Digital is? If you don’t, no need to worry, as here at Caroline Streatfield Bookkeeping, the leading bookkeepers in Eastbourne, we’re going to give you a quick run through. If you do know about it – are you confused? Perhaps, you don’t know quite what your next steps are? In our latest blog, we give a quick overview of what MTD is, the key points, those that should have already started filing out their returns, the software you can use and what you should do next to ensure that you and your business are MTD compliant.

What Is Making Tax Digital?

It has been years in the making and has been designed by the government for individuals and businesses to make it easier to get their tax right and to keep on top of things. Tax administration is transforming, making it more effective, more efficient and easier for taxpayers. We live in a digital age and hence MTD is a digital tax reporting system whereby business accounts will have to be submitted in this way seeing an end of paper records. HMRC is going ‘paperless’, which is not a bad thing.

Key Points of the Digital Tax System

  • No more bureaucratic form-filling
  • No repetition of information
  • A faster and more efficient service
  • Taxpayers have access to their digital accounts
  • Information automatically uploaded

Deadline Day Has Arrived

MTD has already come into effect for some businesses and since 1 April 2019, companies with a taxable turnover of £85,000, have been required to keep digital VAT records using software such as QuickBooks, Xero or FreeAgent. June 7th saw the first submission deadline for monthly filers whilst August 7th was the first deadline for quarterly (April to June stagger) filers. Those on the May to July stagger have a filing deadline of 7th September. One million businesses are now in the service with 900,000 VAT submissions having been filed.

Conclusion

All businesses, which are affected by MTD must sign themselves up or get an agent to sign upon their behalf. HMRC are running 4 webinars throughout September, which you can sign up for. Your choice of software is up to you as HMRC does not recommend or endorse any products although a software choices selection tool is available.

What To Do Next

Caroline Streatfield Bookkeeping is a registered HMRC agent and can help ensure your business is MTD compliant. We will be able to help and to advise you on which software will be the most suitable for your business and provide training if required. Alternatively we offer a complete bookkeeping and VAT service. There really is no reason to struggle any longer. For more information and a without obligation chat, please call Caroline on 07982 682746 or email info@bookkeepereastbourne.co.uk